Crypto-Focused Silvergate Capital Earnings Estimates Drop in Q3 2022
Crypto-focused bank Silvergate Capital releases its Q3 financial report and it appears to have missed earnings and revenue estimates for Q3 earnings, sending shares down nearly 14%.
According to reportthe Silvergate Exchange Network (“SEN”) processed $112.6 billion in US dollar transfers, down 41% from $191.3 billion in the second quarter and down 30% from 162, 0 billion dollars of 2021.
Compared to the second quarter 2022 net profit of $38.6 million and the third quarter 2021 net profit of $23.5 million, the current quarter net profit is $43.3 million.
From 1,585 as of June 30, 2022 and 1,305 as of September 30, 2021, the number of digital active customers increased to 1,677 as of September 30, 2022.
Total commitments for SEN Leverage increased to $1.5 billion as of September 30, 2022, from $322.5 million as of September 30, 2021 and $1.4 billion as of June 30, 2022.
Digital asset fee income for the quarter was $7.9 million, compared to $8.8 million for the second quarter of 2022 and $8.1 million for the third quarter of 2021.
Compared to the second quarter of 2022, when average digital asset customer deposits were $13.8 billion, the third quarter of 2022 saw deposits of $12.0 billion.
Alan Lane, CEO and Chairman of Silvergate, said, “Silvergate delivered another quarter of strong performance, delivering record net income available to common shareholders of $40.6 million. I look forward to the rest of this year and remain confident in our path forward as we head into the final quarter of 2022.”
Lane noted that the company will continue to invest in strategic initiatives and balance our culture of innovation with its risk-based approach to new product launches.
Read also : Silvergate CEO thinks ‘bear market’ will prevail for a few more quarters